The Enforcement Directorate on Monday approached the local court in Malavalli seeking orders against releasing a huge sum of newly released high-value notes, which were reportedly confiscated from a gang allegedly involved in a currency conversion racket.
The Malavalli sub-division police had busted the racket by nabbing a gang of 14 in December, which had allegedly robbed Rs. 66.5 lakh from a group of people from Mandya, and had recovered Rs. 53.81 lakh from them. Preliminary investigations had revealed that they had approached the team near Kirugavalu on December 12 to exchange their new notes with the devalued money on a commission basis.
A case was registered later and the gang was nabbed.
The Police Department had written to the Enforcement Directorate earlier this month to conduct an investigation, Mathew Thomas, Deputy Superintendent of Police (Malavalli sub-division), has told The Hindu. Some of the members of the group, who were duped by the gang, had approached the court seeking release of the money.
“Subsequently, a team from the Enforcement Directorate has filed objections [against releasing the confiscated money],” the officer told The Hindu.
The Enforcement Directorate has initiated its legal formalities on Monday and would conduct a probe to trace and ascertain the source of money that was involved in the case, another officer said.
